Customers outside a coffee shop in Victoria, central London. Credit: Richard M Lee via Shutterstock.

London hospitality workers have experienced significant pay increases compared to the rest of the country, according to data from the hospitality industry hiring platform Caterer.com.

The ongoing shortages of hospitality workers and escalating costs faced by pubs, hotels and restaurants have driven employers to offer higher wages in an effort to attract and retain talent. In the year from May 2022 to May 2023, hospitality employees in London received average pay rises of 11.5%, outpacing the national average.

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This surge in pay is accompanied by a record number of job vacancies, with over 1,700 positions on Caterer.com’s platform offering salaries exceeding £50,000. 

Efforts to retain top talent mean big rewards

To remain attractive to skilled professionals, over 29% of UK hospitality employers are prioritising the provision of competitive rewards and benefits. This includes incentives such as pensions, competitive annual leave, bonuses and more.

Among the most common benefits being offered are bonuses (21.3%), mental health and wellbeing days (19.3%), and health insurance (17.8%). By offering these attractive packages, employers aim to entice and retain employees in an industry grappling with a shortage of skilled workers. 

The improved remuneration and benefits have sparked a surge in applications for hospitality positions, with many individuals seeking new or additional income from roles in pubs, restaurants and hotels.

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Caterer.com reports a significant increase in the number of people exploring opportunities in the hospitality sector as a result. 

Employers understand the value of their workforce

Kathy Dyball, Director at Caterer.com, acknowledged the ongoing challenges faced by the hospitality industry, including the cost-of-living crisis, rising energy costs and inflation.

However, she emphasised that employers understand the value of their workforce and have responded by intensifying efforts to provide appealing and rewarding opportunities.

By offering competitive salaries and benefits, hospitality employers in London are striving to address the skills shortage and ensure the sector continues to thrive.